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FINANCIAL

Cost Savings Payback Calculator

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Compare an upfront improvement cost with steady recurring savings and maintenance.

Your inputs

USD
USD
USD

Example values are shown. Edit them for your calculation.

Inputs stay in this page. No account needed.

Your result

FINANCIAL

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Next steps

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On this page How it works & practical examples

How to use the Cost Savings Payback Calculator

Use the extra cash costs and savings relative to keeping the current setup. Enter recurring maintenance separately to avoid treating gross savings as net savings.

The calculation

Simple payback months = upfront cost / (gross monthly savings − added maintenance)

Worked example

$3,000 upfront and $150 net monthly savings give a twenty-month simple payback.

Assumptions and limits

Constant cash flow; no financing, discounting, residual value or changing energy prices. Non-positive net savings gives no finite payback under this model.

Common questions

Which inputs should I use?

Use the extra cash costs and savings relative to keeping the current setup. Enter recurring maintenance separately to avoid treating gross savings as net savings.

What does the result exclude?

Constant cash flow; no financing, discounting, residual value or changing energy prices. Non-positive net savings gives no finite payback under this model.

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